This is a special Liberty Alert.
Democratic Presidential nominee Barack Obama stated today that he supports a 'windfall profits tax' on oil companies, in addition to proposals by Democrats to increase the federal tax-per-gallon on gasoline.
Federal, state, and local governments already make 7 times the amount of money the oil companies make from profits. These proposals from Obama and the Democrats do nothing but add to the burden average Americans already feel resulting from the increasing oil prices.
In addition, Obama stated today that he supports a national fingerprint I.D. database. Human rights groups have long vehemently opposed such measures as a blatant and unnecessary intrusion into personal privacy.
What's next? 'Papers, please.'
Sieg Heil!
Showing posts with label government price-gouging. Show all posts
Showing posts with label government price-gouging. Show all posts
Monday, June 09, 2008
Wednesday, May 28, 2008
Bill O'Reilly WRONG About Oil
I happened to catch part of Fox News commentator Bill O'Reilly's radio show this evening, and I must admit I was shocked to hear some of the positions taken by the popular media personality.
Of late I have found myself breaking ranks with O'Reilly on an increasing number of issues, but I was floored that he would spout the common 'blame the oil companies' mantra that one hears from Democrats in Congress.
To get straight to the point, O'Reilly is FLAT WRONG about oil.
In order to 'fix' the problem of rising oil prices, O'Reilly would punish the oil companies, as if they are the ones responsible for the problem, which they aren't. He also came close to spouting the Obama claim that the oil companies are guilty of 'price gouging,' though he stopped just sort of saying that.
Once again, let's set the record straight, shall we?
Out of every dollar we spend at the pump, 70 cents goes to purchase crude oil, most of which is imported from other countries. Crude is up by 100 dollars per barrel since 1998.
It doesn't take rocket science to figure out that most of the increases in gasoline prices at the pump over the last 10 years can be traced directly to the price of crude.
The big oil companies must purchase this crude, the price of which is set by the open market, OPEC, and investors/speculators.
Further, out of every dollar we spend at the pump, only about 3 cents goes to the big oil companies in profits.
But here is the biggie. Out of every dollar we spend at the pump, 6.5 cents goes for federal taxes, and anywhere from 15 to 20 cents goes for state and local taxes, depending on the state/municipality in which one lives.
As you can see, this leaves very little profit margin for local gas stations.
Thus, if Mr. O'Reilly wishes to play the blame game, he is picking on the wrong ones. Government at the federal, state, and local levels makes 8 times what the oil companies make in profits. And as long as crude oil accounts for 70% of the price we pay at the pump, Americans will see very little relief until the price of crude comes down.
And instead of brow-beating the oil companies for doing what a corporation is supposed to do--make a profit for its stockholders--why not brow-beat government for raking in multi-billions of dollars in taxes on gasoline? Why isn't anyone talking about or reporting how much government profits from these high gasoline prices?
It's very simple. They don't want you to know.
I can tell you this, the next time you hear a specific number on oil company profits, just multiply that number by 7, and you will get a ballpark estimate of what government is raking in from gasoline prices.
Those are the simple facts regardless of any demagoguery from O'Reilly or the Democrats.
Of late I have found myself breaking ranks with O'Reilly on an increasing number of issues, but I was floored that he would spout the common 'blame the oil companies' mantra that one hears from Democrats in Congress.
To get straight to the point, O'Reilly is FLAT WRONG about oil.
In order to 'fix' the problem of rising oil prices, O'Reilly would punish the oil companies, as if they are the ones responsible for the problem, which they aren't. He also came close to spouting the Obama claim that the oil companies are guilty of 'price gouging,' though he stopped just sort of saying that.
Once again, let's set the record straight, shall we?
Out of every dollar we spend at the pump, 70 cents goes to purchase crude oil, most of which is imported from other countries. Crude is up by 100 dollars per barrel since 1998.
It doesn't take rocket science to figure out that most of the increases in gasoline prices at the pump over the last 10 years can be traced directly to the price of crude.
The big oil companies must purchase this crude, the price of which is set by the open market, OPEC, and investors/speculators.
Further, out of every dollar we spend at the pump, only about 3 cents goes to the big oil companies in profits.
But here is the biggie. Out of every dollar we spend at the pump, 6.5 cents goes for federal taxes, and anywhere from 15 to 20 cents goes for state and local taxes, depending on the state/municipality in which one lives.
As you can see, this leaves very little profit margin for local gas stations.
Thus, if Mr. O'Reilly wishes to play the blame game, he is picking on the wrong ones. Government at the federal, state, and local levels makes 8 times what the oil companies make in profits. And as long as crude oil accounts for 70% of the price we pay at the pump, Americans will see very little relief until the price of crude comes down.
And instead of brow-beating the oil companies for doing what a corporation is supposed to do--make a profit for its stockholders--why not brow-beat government for raking in multi-billions of dollars in taxes on gasoline? Why isn't anyone talking about or reporting how much government profits from these high gasoline prices?
It's very simple. They don't want you to know.
I can tell you this, the next time you hear a specific number on oil company profits, just multiply that number by 7, and you will get a ballpark estimate of what government is raking in from gasoline prices.
Those are the simple facts regardless of any demagoguery from O'Reilly or the Democrats.
Thursday, May 15, 2008
Misplaced Blame
Americans are increasingly enraged about the price of gasoline, and rightly so. Skyrocketing gas prices are beginning to cut into the lifestyle choices to which most of us have become accustomed, forcing drivers to either cut back on driving or ditch their SUVs for small, fuel-efficient autos.
Oil companies and gas stations are easy targets for Americans' rage in the blame game. After all, somebody, somewhere is to blame for this mess. And it just so happens that the oil companies are making excellent profits for their stockholders, which good corporations are supposed to do.
Of course, the mainstream media never reports that the profit margin percentage for companies like Microsoft and Google is much larger than that of the oil companies. In the liberal blame-game, it is always politically correct to blame the oil companies.
But is it fair to blame the oil companies?
Consider some facts. In 1992 the price of a barrel of crude oil was about 15 bucks. By 1998, ten years ago, crude oil cost roughly $25 per barrel.
Within the last 10 years the price of crude on the open market has steadily increased as demand for the commodity has skyrocketed with China and India beginning to use oil increasingly in their growing economies.
That steady increase in the market value of crude reached an unheard-of $127 per barrel this month. That's roughly 100 bucks per barrel higher than in 1998.
Oil companies do not set the price of crude. The open market determines the price based upon investors/speculators. China and India are now using millions of barrels of oil, meaning, of course, that they are now near the top among the countries of the world in the production of 'greenhouse gases.'
Yet the United Nations granted both countries an exemption from its 'mandated' reduction in greenhouse gases.
With these two countries now using as much oil as most any other country in the world, and with our dependence on foreign oil still remaining at a fairly high level, it is no wonder that the markets have created a financial bonanza for crude.
When the oil companies are having to pay 100 bucks per barrel more for crude than they did 10 years ago, is it really a surprise that gasoline prices have skyrocketed when compared to the past?
The solution that many liberals are selling to a gullible public is to place a windfall profits tax on the oil companies. My friends, oil is already taxed at a rate that boggles the mind. For every 8 cents the oil companies make in profits, the federal government alone collects 18 cents in taxes, and that doesn't count state and local taxes.
In short, the federal government is making windfall profits off of the oil company profits.
So, why does the government need or want more?
In addition, the environmentalist nutcases have seen to it that not only are we forbidden from drilling for oil anywhere in the country but that we are blocked from building more nuclear power facilities or new oil refineries. No new refinery has been built in the U.S. for over 30 years.
Thus, if the answer is weaning ourselves off of foreign oil, how can that be done when a few very powerful extremists have tied our hands?
It should be noted that one of the environmentalists' favorite countries, France, is powered almost exclusively by nuclear energy to the tune of at least 80% of its energy needs.
With new technology that makes nuclear energy as safe as any type of energy on the planet outside of solar, there should be no reason why the U.S. should not build more nuclear facilities and shift to that form of energy as quickly as possible. Nuclear power also ranks with solar as the cleanest form of energy available.
But the answer is not 'taking oil company profits' out of the hands of stockholders in order to fund these alternative energy sources. We were ALREADY funding alternative sources until the environmentalist nutcases put a stop to it.
Ted Kennedy will not even allow windmill-generated wind power to be developed on the shoreline of Connecticut and Massachusetts.
Thus, who IS to blame for the current crisis? Look no further than the environmentalist movement, liberals like Ted Kennedy, and countries like China and India. The oil companies and your local gasoline vendor are no more to blame for the rising prices than your grocer is to blame for rising food prices due to the environmentalist insistence that we take crops and turn them into bio-fuel instead of food.
Oil companies and gas stations are easy targets for Americans' rage in the blame game. After all, somebody, somewhere is to blame for this mess. And it just so happens that the oil companies are making excellent profits for their stockholders, which good corporations are supposed to do.
Of course, the mainstream media never reports that the profit margin percentage for companies like Microsoft and Google is much larger than that of the oil companies. In the liberal blame-game, it is always politically correct to blame the oil companies.
But is it fair to blame the oil companies?
Consider some facts. In 1992 the price of a barrel of crude oil was about 15 bucks. By 1998, ten years ago, crude oil cost roughly $25 per barrel.
Within the last 10 years the price of crude on the open market has steadily increased as demand for the commodity has skyrocketed with China and India beginning to use oil increasingly in their growing economies.
That steady increase in the market value of crude reached an unheard-of $127 per barrel this month. That's roughly 100 bucks per barrel higher than in 1998.
Oil companies do not set the price of crude. The open market determines the price based upon investors/speculators. China and India are now using millions of barrels of oil, meaning, of course, that they are now near the top among the countries of the world in the production of 'greenhouse gases.'
Yet the United Nations granted both countries an exemption from its 'mandated' reduction in greenhouse gases.
With these two countries now using as much oil as most any other country in the world, and with our dependence on foreign oil still remaining at a fairly high level, it is no wonder that the markets have created a financial bonanza for crude.
When the oil companies are having to pay 100 bucks per barrel more for crude than they did 10 years ago, is it really a surprise that gasoline prices have skyrocketed when compared to the past?
The solution that many liberals are selling to a gullible public is to place a windfall profits tax on the oil companies. My friends, oil is already taxed at a rate that boggles the mind. For every 8 cents the oil companies make in profits, the federal government alone collects 18 cents in taxes, and that doesn't count state and local taxes.
In short, the federal government is making windfall profits off of the oil company profits.
So, why does the government need or want more?
In addition, the environmentalist nutcases have seen to it that not only are we forbidden from drilling for oil anywhere in the country but that we are blocked from building more nuclear power facilities or new oil refineries. No new refinery has been built in the U.S. for over 30 years.
Thus, if the answer is weaning ourselves off of foreign oil, how can that be done when a few very powerful extremists have tied our hands?
It should be noted that one of the environmentalists' favorite countries, France, is powered almost exclusively by nuclear energy to the tune of at least 80% of its energy needs.
With new technology that makes nuclear energy as safe as any type of energy on the planet outside of solar, there should be no reason why the U.S. should not build more nuclear facilities and shift to that form of energy as quickly as possible. Nuclear power also ranks with solar as the cleanest form of energy available.
But the answer is not 'taking oil company profits' out of the hands of stockholders in order to fund these alternative energy sources. We were ALREADY funding alternative sources until the environmentalist nutcases put a stop to it.
Ted Kennedy will not even allow windmill-generated wind power to be developed on the shoreline of Connecticut and Massachusetts.
Thus, who IS to blame for the current crisis? Look no further than the environmentalist movement, liberals like Ted Kennedy, and countries like China and India. The oil companies and your local gasoline vendor are no more to blame for the rising prices than your grocer is to blame for rising food prices due to the environmentalist insistence that we take crops and turn them into bio-fuel instead of food.
Wednesday, April 02, 2008
Message to Congress: Halt Gasoline Taxes NOW!
As they usually do every few years, members of Congress hauled in the oil company executives on Tuesday for a trip to the woodshed, blaming them for everything from global warming to high gas prices to *gasp* actually making a good profit for shareholders.
I will not waste my time and energy on the imbecilic charges and inexplicable holier-than-thou display staged by Congressional Democrats.
Instead, let's get down to the nitty gritty, shall we?
Congress needs to place a moratorium on gasoline taxes at the pump. In addition, state and local governments need to follow suit. This will save the average American at least $24 bucks at the pump every time we fill up.
Government already makes windfall profits off of oil companies, raking in at least 7 times the profit margin of the oil companies on a gallon of gas.
In hard times one would think that the Party that likes to proclaim itself the 'friend of the little guy' and the 'Party that cares about the working people' would wish to repeal all taxes on gasoline, given the massive amount of money it would save average Americans.
The repeal would only need to be temporary until we can get ourselves back into some stability in the oil markets, which are totally out of the control of the oil companies themselves.
Democrats in Congress claim that the profits of the oil companies are 'obscene.' And what, pray tell, would we call the taxes the government collects from gasoline?
You see, Liberals believe that it is immoral for a business to make a profit for its owners/shareholders. But when government rakes in multi-billions of dollars in taxes from those 'obscene profits,' everything is perfectly fine.
This double-standard, frankly, is nauseating.
Thus, let the Demos in Congress put their money where their lying mouths are. If they are serious about helping 'the little guy' who needs a break from prices at the pump, then place a moratorium on all gasoline taxes.
This would mean that a normal fill-up that would cost you $60 bucks would then cost you only $36 bucks.
Do I believe this will happen? Only when pigs fly. Money-grubbing, sticky-fingered politicians of the Liberal type are more greedy than ANY oil company executive.
I will not waste my time and energy on the imbecilic charges and inexplicable holier-than-thou display staged by Congressional Democrats.
Instead, let's get down to the nitty gritty, shall we?
Congress needs to place a moratorium on gasoline taxes at the pump. In addition, state and local governments need to follow suit. This will save the average American at least $24 bucks at the pump every time we fill up.
Government already makes windfall profits off of oil companies, raking in at least 7 times the profit margin of the oil companies on a gallon of gas.
In hard times one would think that the Party that likes to proclaim itself the 'friend of the little guy' and the 'Party that cares about the working people' would wish to repeal all taxes on gasoline, given the massive amount of money it would save average Americans.
The repeal would only need to be temporary until we can get ourselves back into some stability in the oil markets, which are totally out of the control of the oil companies themselves.
Democrats in Congress claim that the profits of the oil companies are 'obscene.' And what, pray tell, would we call the taxes the government collects from gasoline?
You see, Liberals believe that it is immoral for a business to make a profit for its owners/shareholders. But when government rakes in multi-billions of dollars in taxes from those 'obscene profits,' everything is perfectly fine.
This double-standard, frankly, is nauseating.
Thus, let the Demos in Congress put their money where their lying mouths are. If they are serious about helping 'the little guy' who needs a break from prices at the pump, then place a moratorium on all gasoline taxes.
This would mean that a normal fill-up that would cost you $60 bucks would then cost you only $36 bucks.
Do I believe this will happen? Only when pigs fly. Money-grubbing, sticky-fingered politicians of the Liberal type are more greedy than ANY oil company executive.
Thursday, March 20, 2008
Congressman Wants 50 Cents Per Gallon Tax Hike
U.S. House Representative John Dingell, D-Michigan, has proposed a 50-cents-per-gallon tax increase on every gallon of gas purchased.
As Americans are increasingly struggling with skyrocketing gas prices at the pump, Dingell would only add to their burden by socking them with a 50-cent increase in the already high rate of taxation the government slaps on gasoline.
Dingell and other liberals subscribe to the view that taxation should be used, in part, to change the behavior of Americans. Cigarette and alcohol taxes, for example, are supposed to discourage consumers from indulging, as if this is ANY business of government.
But in this case, what, exactly, is the massive tax increase on gasoline consumption meant to change, other than grounding drivers? What is their alternative? If the objective is to change behavior, then change it to WHAT? Sit at home rather than drive to work?
At present most Americans have no choice but to utilize the present system of transportation and the means of providing energy to that transportation. Americans love their autos, and at present we have no widespread system in place to provide any energy source except for gasoline.
Many if not most Americans now drive only enough to take care of the necessities of life, such as driving to work, to the grocery store, to church, and to the doctor.
What, exactly, are they going to do when ultra-liberals such as Dingell and most of his Democratic colleagues succeed in making travel by auto difficult if not impossible by pricing gasoline out of the reach of most working Americans?
It is not as if the government isn't already making huge profits off of gasoline. As we have indicated many times on the Liberty Sphere, Americans are already paying roughly 60-70 cents in taxes per gallon of gas (it is now higher than this since gas prices have increased and are taxed on a percentage basis). At this moment, even without the Dingell robbery scheme, the government collects at least 7 times the amount the oil companies make in profits on a gallon of gas.
If Dingell gets his way, many Americans (depending on the area of the country they live) will be paying a whopping $1.20 per gallon in taxes. That means if you have a vehicle that has a 20-gallon tank, when you fill up you will pay TWENTY-FOUR dollars in taxes alone...that's $24.00 per tank each time you fill up.
You will pay only eight dollars ($8.00) to profit the oil companies.
Thus, when you fill up with 20 gallons at a cost of $3.00 per gallon, you will pay a total of $60.00. Out of that 60 dollars you will pay 24 bucks in taxes. Out of that 60 dollars, 8 dollars will go to the oil companies.
Without the unreasonable taxes on gasoline, your bill at the pump for 20 gallons, even at 3 bucks per gallon would only be $36.00--THIRTY-SIX BUCKS for a full tank of gas at the 'whopping' price of 3 dollars per gallon.
Thus, my friends, if there were ever any doubt as to who is the real culprit that places such burdens on the backs of citizens, look no further than your government.
As Americans are increasingly struggling with skyrocketing gas prices at the pump, Dingell would only add to their burden by socking them with a 50-cent increase in the already high rate of taxation the government slaps on gasoline.
Dingell and other liberals subscribe to the view that taxation should be used, in part, to change the behavior of Americans. Cigarette and alcohol taxes, for example, are supposed to discourage consumers from indulging, as if this is ANY business of government.
But in this case, what, exactly, is the massive tax increase on gasoline consumption meant to change, other than grounding drivers? What is their alternative? If the objective is to change behavior, then change it to WHAT? Sit at home rather than drive to work?
At present most Americans have no choice but to utilize the present system of transportation and the means of providing energy to that transportation. Americans love their autos, and at present we have no widespread system in place to provide any energy source except for gasoline.
Many if not most Americans now drive only enough to take care of the necessities of life, such as driving to work, to the grocery store, to church, and to the doctor.
What, exactly, are they going to do when ultra-liberals such as Dingell and most of his Democratic colleagues succeed in making travel by auto difficult if not impossible by pricing gasoline out of the reach of most working Americans?
It is not as if the government isn't already making huge profits off of gasoline. As we have indicated many times on the Liberty Sphere, Americans are already paying roughly 60-70 cents in taxes per gallon of gas (it is now higher than this since gas prices have increased and are taxed on a percentage basis). At this moment, even without the Dingell robbery scheme, the government collects at least 7 times the amount the oil companies make in profits on a gallon of gas.
If Dingell gets his way, many Americans (depending on the area of the country they live) will be paying a whopping $1.20 per gallon in taxes. That means if you have a vehicle that has a 20-gallon tank, when you fill up you will pay TWENTY-FOUR dollars in taxes alone...that's $24.00 per tank each time you fill up.
You will pay only eight dollars ($8.00) to profit the oil companies.
Thus, when you fill up with 20 gallons at a cost of $3.00 per gallon, you will pay a total of $60.00. Out of that 60 dollars you will pay 24 bucks in taxes. Out of that 60 dollars, 8 dollars will go to the oil companies.
Without the unreasonable taxes on gasoline, your bill at the pump for 20 gallons, even at 3 bucks per gallon would only be $36.00--THIRTY-SIX BUCKS for a full tank of gas at the 'whopping' price of 3 dollars per gallon.
Thus, my friends, if there were ever any doubt as to who is the real culprit that places such burdens on the backs of citizens, look no further than your government.
Friday, May 18, 2007
Hillary, Pelosi Lying About Gas Price-Gouging
Washington, DC (TLS). Two of Washington's premier Socialists, Senator Hillary Clinton and Speaker Nancy Pelosi, have been decrying so-called 'price-gouging' by the big oil companies.
First, it was Hillary with her now-infamous line from her stump speech concerning oil company profits--'We are going to take that money and put it in a fund for the development of alternative forms of energy.'
Spoken like a true Socialist.
Now it is Nancy Pelosi's condemnation of the oil companies this week, reacting to a new national average price of $3.07 per gallon of gas.
Pelosi was incensed by the fact that in her home district of San Francisco, the highest price of gasoline stood at $3.49 per gallon. Thus, she introduced a bill in the House, H.R. 1252, to 'protect consumers from price-gouging.'
Time for a reality check, Ms. Clinton and Ms. Pelosi.
When adjusted for inflation over a 25-year period, the national average for a gallon of gas is actually LOWER today than it was in 1981, just as Jimmy Carter was leaving the White House.
In addition, apparently consumers need protection from GOVERNMENT price gouging rather than gouging by the oil companies!
If anyone would bother to check the actual figures, one would find that the big oil companies make roughly 13 cents per gallon on the gasoline that is sold in America. Out of an average price of $3.07 per gallon, the big oil companies themselves gain a profit of just 13 CENTS PER GALLON.
Would anyone like to guess what THE GOVERNMENT makes on a gallon of gas?
Remember, a huge chunk of what you and I pay at the pump is for TAXES, both state and federal. Thus, for each gallon of gas sold, the federal government makes 18.4 cents per gallon. That is 5.4 cents per gallon higher than what those 'price-gouging' oil companies make!
On top of that, in the state of California, 40.2 cents per gallon goes to the state government. In other words, the state of California makes THREE TIMES the amount of profit the oil companies get from a gallon of gas.
And we are not through yet. Let's look at Pelosi's district alone, shall we? In the San Francisco Congressional district, which Pelosi represents, consumers pay a LOCAL tax on top of the state and federal tax. San Francisco residents pay another 8.2% in local sales taxes for their gasoline.
Thus, for every gallon of gasoline you purchase, you are going to pay at least 58.6 cents per gallon in federal and state taxes, plus 8.2% of the total for your local taxes.
For one gallon of gas, the government gets 58.6 cents plus 8.2% as compared to the 13 cents in profit that goes to the oil companies.
So who is actually doing the gouging here?
This is why I say that Hillary Clinton and Nancy Pelosi are lying, deliberately attempting to deceive the American people.
Let's do the math in a hypothetical situation. Let's say you pull up to the pump in San Francisco in your eco-friendly hybrid, and it so happens you have found one lone gas station selling gasoline at the national average of 3.07 per gallon. Let's say you purchase ten gallons of gas for the total price of $30.70.
Out of that total price of $30.70, the oil companies make a whopping $1.30 in profit. ONE DOLLAR AND THIRTY CENTS out of your tank of gas.
The federal government makes $1.84 in federal taxes...54 cents higher than the 'profit' the oil companies make.
As for the state of California, out of your $30.70 purchase, the state government will get $4.02. Don't let this one escape your attention. The oil companies make one dollar and thirty cents' profit out of your purchase, but the state of California makes FOUR DOLLARS AND TWO CENTS.
We're still not finished yet. We still have to add two dollars and forty-eight cents for the 8.2% local sales tax for San Francisco.
Thus, out of your purchase of $30.70 in gasoline, you will pay $8.34 in federal, state, and local sales taxes. Yet you have paid the big oil companies a mere $1.30 out of your purchase.
And this brings us back to the central point. Why would Hillary Clinton and Nancy Pelosi lie to the American public about so-called 'price gouging' by the big oil companies? In fact, they really do have a great amount of gall to suggest such a thing when the government will get over SIX TIMES that amount per gallon of gas sold.
Naturally, neither Clinton nor Pelosi would view such a thing as highway robbery. As long as the government does it, it is automatically for the 'greater good.' But the minute you let a corporation make a profit--and a tiny one at that--then that company is automatically a price-gouging, evil, corrupt, and malevolent example of capitalism.
Do you want to pay lower prices at the gas pump? Well, you are targeting the wrong people if you strike out at the oil companies. Get these gasoline taxes either lowered or eliminated, and you will automatically save 8 bucks per tank (10 gallons) in the state of California.
If you drive a large vehicle you will save about 16 bucks per tank.
Thus, when you feel the pain at the pump, be sure to remember just what is the biggest source of that pain--the government and not the oil companies.
First, it was Hillary with her now-infamous line from her stump speech concerning oil company profits--'We are going to take that money and put it in a fund for the development of alternative forms of energy.'
Spoken like a true Socialist.
Now it is Nancy Pelosi's condemnation of the oil companies this week, reacting to a new national average price of $3.07 per gallon of gas.
Pelosi was incensed by the fact that in her home district of San Francisco, the highest price of gasoline stood at $3.49 per gallon. Thus, she introduced a bill in the House, H.R. 1252, to 'protect consumers from price-gouging.'
Time for a reality check, Ms. Clinton and Ms. Pelosi.
When adjusted for inflation over a 25-year period, the national average for a gallon of gas is actually LOWER today than it was in 1981, just as Jimmy Carter was leaving the White House.
In addition, apparently consumers need protection from GOVERNMENT price gouging rather than gouging by the oil companies!
If anyone would bother to check the actual figures, one would find that the big oil companies make roughly 13 cents per gallon on the gasoline that is sold in America. Out of an average price of $3.07 per gallon, the big oil companies themselves gain a profit of just 13 CENTS PER GALLON.
Would anyone like to guess what THE GOVERNMENT makes on a gallon of gas?
Remember, a huge chunk of what you and I pay at the pump is for TAXES, both state and federal. Thus, for each gallon of gas sold, the federal government makes 18.4 cents per gallon. That is 5.4 cents per gallon higher than what those 'price-gouging' oil companies make!
On top of that, in the state of California, 40.2 cents per gallon goes to the state government. In other words, the state of California makes THREE TIMES the amount of profit the oil companies get from a gallon of gas.
And we are not through yet. Let's look at Pelosi's district alone, shall we? In the San Francisco Congressional district, which Pelosi represents, consumers pay a LOCAL tax on top of the state and federal tax. San Francisco residents pay another 8.2% in local sales taxes for their gasoline.
Thus, for every gallon of gasoline you purchase, you are going to pay at least 58.6 cents per gallon in federal and state taxes, plus 8.2% of the total for your local taxes.
For one gallon of gas, the government gets 58.6 cents plus 8.2% as compared to the 13 cents in profit that goes to the oil companies.
So who is actually doing the gouging here?
This is why I say that Hillary Clinton and Nancy Pelosi are lying, deliberately attempting to deceive the American people.
Let's do the math in a hypothetical situation. Let's say you pull up to the pump in San Francisco in your eco-friendly hybrid, and it so happens you have found one lone gas station selling gasoline at the national average of 3.07 per gallon. Let's say you purchase ten gallons of gas for the total price of $30.70.
Out of that total price of $30.70, the oil companies make a whopping $1.30 in profit. ONE DOLLAR AND THIRTY CENTS out of your tank of gas.
The federal government makes $1.84 in federal taxes...54 cents higher than the 'profit' the oil companies make.
As for the state of California, out of your $30.70 purchase, the state government will get $4.02. Don't let this one escape your attention. The oil companies make one dollar and thirty cents' profit out of your purchase, but the state of California makes FOUR DOLLARS AND TWO CENTS.
We're still not finished yet. We still have to add two dollars and forty-eight cents for the 8.2% local sales tax for San Francisco.
Thus, out of your purchase of $30.70 in gasoline, you will pay $8.34 in federal, state, and local sales taxes. Yet you have paid the big oil companies a mere $1.30 out of your purchase.
And this brings us back to the central point. Why would Hillary Clinton and Nancy Pelosi lie to the American public about so-called 'price gouging' by the big oil companies? In fact, they really do have a great amount of gall to suggest such a thing when the government will get over SIX TIMES that amount per gallon of gas sold.
Naturally, neither Clinton nor Pelosi would view such a thing as highway robbery. As long as the government does it, it is automatically for the 'greater good.' But the minute you let a corporation make a profit--and a tiny one at that--then that company is automatically a price-gouging, evil, corrupt, and malevolent example of capitalism.
Do you want to pay lower prices at the gas pump? Well, you are targeting the wrong people if you strike out at the oil companies. Get these gasoline taxes either lowered or eliminated, and you will automatically save 8 bucks per tank (10 gallons) in the state of California.
If you drive a large vehicle you will save about 16 bucks per tank.
Thus, when you feel the pain at the pump, be sure to remember just what is the biggest source of that pain--the government and not the oil companies.
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